BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON EDUCATION
                              Senator Carol Liu, Chair
                                2015 - 2016  Regular 

          Bill No:              AB 1361            
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          |Author:    |Burke                                                |
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          |Version:   |May 20, 2015                              Hearing    |
          |           |Date:   June 24, 2015                                |
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          |Urgency:   |No                     |Fiscal:    |Yes              |
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          |Consultant:|Olgalilia Ramirez                                    |
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          Subject:  Student financial aid:  Cal Grant Program:  veterans

            SUMMARY
          
          This bill exempts a current or former member of the Armed Forces  
          of the United States, unless the individual received a  
          dishonorable discharge, from the age limitations of the  
          California Community College (CCC) Transfer Cal Grant  
          Entitlement Program.  

            BACKGROUND
          
          Existing law establishes the Cal Grant program, administered by  
          the California Student Aid Commission (CSAC), to provide tuition  
          and access cost assistance to eligible students attending  
          qualified institutions.  The CCC Transfer Entitlement Awards  
          provide Cal Grant A and B awards to every student who graduated  
          from a California high school after June 30, 2000, was a  
          California resident at the time of high school graduation,  
          transferred to a qualifying baccalaureate-degree granting  
          institution from a CCC during the award year, was under the age  
          of 28 at the time of the transfer, and had a minimum California  
          Community College grade point average (GPA) of 2.4.  
          (Education Code § 69432)

          Additionally, maximum award amounts for California State  
          University (CSU) and University of California (UC) are  
          established in the annual Budget Act and have traditionally  
          covered all system wide tuition and fees. The maximum tuition  
          award for Cal Grant A and B for students attending private  







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          for-profit colleges is $4,000 (commencing 2013-14), and for  
          students attending non-profit or Western Association of Schools  
          and Colleges (WASC)-accredited for-profit institutions is $8,056  
          (commencing 2015-16).  (EC § 69432)

            ANALYSIS
          
          This bill:

       1)Exempts a current or former member of the Armed forces of the  
            United States, unless the individual received a dishonorable  
            discharge, from the age limitations of the California  
            Community College (CCC) Transfer Cal Grant Entitlement  
            Program. 

       2)Requires an institution to ensure that it does not accept award  
            funds under both this section and United States Code Title 38  
            in the same award year for a current or former member of the  
            Armed Forces of the United States who is 28 years of age or  
            older.


          STAFF COMMENTS
          
       1)Need for the bill.  Current law requires a student to be under  
            the age of 28 years old in order to be eligible for the  
            California Community College Transfer Entitlement (Transfer  
            Entitlement). According to the author, this age eligibility  
            requirement presents a barrier for veterans who as a result of  
            their time in the service, attend college later in life, tend  
            to be older and are more likely to support a family while  
            enrolled in school. The California Community College  
            Chancellor's Office reports that approximately 27,000 of  
            veterans attending California Community Colleges (CCC) are  
            over the age of 30. This bill seeks to allow veterans greater  
            access to higher education by removing the age requirement in  
            order to qualify for the Transfer Entitlement Award. 

       2)The Community College Transfer Entitlement Program.  The Transfer  
            Entitlement award was structured to provide the same guarantee  
            of the Cal Grant eligibility to California students who start  
            at community college and transfer to a four year college or  
            university some years later, as the Cal Grant Entitlement  
            program provides high school students entering directly into  








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            four year college or university maximum award amounts. 
          
            The Transfer Entitlement award provides for full fees at CCC,  
            California State University (CSU) and the University of  
            California (UC), as well as tuition support at private  
            California colleges and universities. For veterans 28 years or  
            older this bill would provide a new education benefit that  
            otherwise would not have been available. Particularly for  
            veteran students who have exhausted GI bill eligibility.  
               
       3)Other tuition benefits for veterans.  Veterans may access various  
            education benefit programs through the federal government.  
            Most commonly known, the federal Montgomery GI Bill provides  
            active-duty service members and veterans a monthly tax-free  
            benefit to be used for tuition, books, fees, and living  
            expenses while earning an undergraduate or graduate degree, or  
            attending trade school. The GI bill could provide veteran  
            students up to $20,000 (approximately) in education benefits  
            for the 2015-16 academic year. 

            The federal government is the last payer if the state offers  
            an equivalent tuition benefit to veterans. As such, this bill  
            specifies that a veteran cannot use both sources within the  
            same academic year. A student would need to choose when to use  
            either award in order to maximize the expanded benefit  
            provided by provisions in this bill. 

       4)Prior Legislation.
               
            AB 303 (Calderon, 2014) would have entitled an otherwise  
            eligible veteran to a Cal Grant A Entitlement Award or a Cal  
            Grant B Entitlement Award. AB 303 was pulled from the Assembly  
            Higher Education committee at the request of the chair. 




            SUPPORT
          
          California Community Colleges Chancellor's Office 
          California School Employees Association 
          California Student Aid Commission
          Community College League of California 









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            OPPOSITION
           
           None received.

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